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Title:
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A timetable for harmonisation of support schemes for renewable electricity in the EU
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Author(s):
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Egenhofer, C.; Jansen, J.C.
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Published by:
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Publication date:
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ECN
Policy Studies
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1-4-2006
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ECN report number:
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Document type:
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ECN-RX--06-088
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Article (scientific)
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Number of pages:
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0
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Published in: European Review of Energy Markets, Vol. 1, Issue 2, p.85 (), , 2006, Vol.april, p.-.
Abstract:
The case for renewable energy sources (RES) support in the EU is usually
based on a great number of different reasons. RES promise strategic
improvements in the security of energy supply, reduce in the medium to
long term both upward energy price risk and energy price volatility and
could offer an enhanced competitive edge for the EU RES technology
industry. Renewables reduce air pollution and greenhouse gas (GHG)
emissions. They also facilitate improvement in the economic and social
prospects of rural and isolated regions in industrialised countries and provide better access for meeting basic energy needs in developing
countries. The cumulative effect of all these benefits makes a robust case for renewables support. This remains true also if measured against the
benchmark of the Lisbon agenda of making the EU more competitive.
However, the different objectives are not necessary mutually reinforcing and
in many cases they constitute trade-offs. This article examines how policy
should deal with these trade-offs in light of vested interests demanding
more support for “their” technology. It analyses the merits of different
support models and examines how different member states schemes can
gradually been brought into an EU-wide scheme. The article proposes a
timetable for EU-wide harmonisation of (still) national support schemes to
reap the benefits of the internal market without allowing for distortions to
competition in the emerging EU power market. It distinguishes between
three areas for action: overall support level, harmonisation of support
schemes, and creation of a common EU framework.
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